When it comes to being happy with our chosen financial institution the online functionality makes a huge difference – and it appears that many institutions are hitting the mark. A recent Canstar Blue survey of more than 2,600 Australian adults found a high level of customer satisfaction with the digital banking offerings of Australian financial institution, with 77 percent of respondents being satisfied or highly satisfied with the online functionality of their chosen institution.
“Interestingly, the digital banking service is the thing we are most likely to be satisfied with in relation to our chosen financial institution,” said CANSTAR Editor in Chief, Justine Davies.
“Customer service, problem-solving ability and product range all also scored satisfaction ratings of over seventy percent, but none were as high as the level of satisfaction with the digital banking offered. The interest rates offered and the fees charged, not surprisingly, attracted a much lower level of satisfaction!”
Each year CANSTAR assesses the online banking offerings and functionality of Australian financial institutions, this year researching 55 institutions to determine which ones offer superior service. For the first time this year, CANSTAR has awarded a specific Mobile Banking Award in addition to the Online Banking Award, recognizing the increasing importance of banking on the go.
“According to research by Roy Morgan, the number of Australians doing “mobile only” banking on their mobile phone or tablet has tripled in the past 3 years,” said CANSTAR Group Manager, Research and Ratings, Mitchell Watson.
“Every month, around 1.1 million Australians used only their smartphone or tablet to do their banking. Another 33% do their online banking by mobile or tablet every month along with also using other channels such as desktop online banking or visiting an ATM.”
The Canstar Blue survey also found that the majority of Australians are more likely to take out other financial products with the institutions they already bank with as opposed to shopping around.
“Having a terrific banking app and intuitive online functionality requires a big investment, but it’s a good way of attracting customers who will hopefully become loyal,” said Mr Watson.
“The internet is the great equaliser. It represents a massive opportunity for all institutions, irrespective of their physical presence.”
And the winners are…
Making it an outstanding seven years in a row, Commonwealth Bank has won the award for Bank of the Year – Online Banking and has also taken the inaugural Bank of the Year – Mobile Banking award.
“Commonwealth Bank invests significantly in its digital offerings and this very clearly results in a better, more comprehensive experience for its customers, across both desktop and mobile,” said Mr Watson.
“Commonwealth Bank really has been setting the bar in terms of both desktop and mobile functionality for a number of years and that is no small feat in an environment where customer expectations continue to change rapidly. For such a large organisation to be able to foster and execute the agility required to stay on top of the game is truly impressive.
Customer-owned institutions, by virtue of their size, don’t have the same resources to spend on digital development. They do, nevertheless, tend to punch above their weight and for the second year in a row Beyond Bank has won the Customer-Owned Institution of the Year – Online Banking award. Doubling the achievement, Beyond Bank has also taken the Customer-Owned Institution of the Year – Mobile Banking award.
“Beyond Bank undertook a complete redesign of their entire online banking channel in 2014, and that has resulted in superior functionality and seamless integration across channels,” said Mr Watson.
“Beyond Bank provides all the traditional elements of online banking for smartphone or desktop users. It really does excel in the customer-owned space.”
The CANSTAR report can be accessed here
For further information:
Editor in Chief
Ph. (07) 3837 4151 / 0400 127 733
CANSTAR provides Australia’s interactive online research service in consumer and business finance. Founded in 1992, CANSTAR Pty Limited is Australia’s researcher of retail finance information for over 250 institutions such as Banks, Building Societies, Credit Unions, Finance Companies, Brokers, Mortgage Originators, Life Companies and finance related Internet Portals. CANSTAR customers use the extensive database for competitor analysis as well as a means of disseminating their product range. CANSTAR also distributes this information to print and electronic media for publication and to Agents, Accountants, Brokers and Internet Portals for use in advising their clients.
What are the CANSTAR star ratings?
CANSTAR researches, compares and rates the suite of banking and insurance products listed below. Results are freely available to consumers who use the star ratings as a guide to product excellence. The use of similar star ratings logos also builds consumer recognition of quality products across all categories. Please access the CANSTAR website at www.canstar.com.au if you would like to view the latest star ratings reports of interest.
|Account based pensions||Managed investments|
|Business banking||Online banking|
|Business life insurance||Online share trading|
|Car insurance||Package banking|
|Credit cards||Personal loans|
|Deposit accounts||Reward programs|
|Direct life insurance||Superannuation|
|First home buyer||Term deposits|
|Health insurance||Travel insurance|
|Home & Contents||Travel money card|
|Home loans||Youth banking|
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To the extent that the information in this report constitutes general advice, this advice has been prepared by Canstar Research Pty Ltd A.C.N. 114 422 909 AFSL and ACL 437917 (“Canstar”). The information has been prepared without taking into account your individual investment objectives, financial circumstances or needs. Before you decide whether or not to acquire a particular financial product you should assess whether it is appropriate for you in the light of your own personal circumstances, having regard to your own objectives, financial situation and needs. You may wish to obtain financial advice from a suitably qualified adviser before making any decision to acquire a financial product. Canstar provides information about credit products. It is not a credit provider and in giving you information it is not making any suggestion or recommendation to you about a particular credit product. Please refer to Canstar’s FSG for more information.
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